Despite being frequently criticized for its stretched valuation, one major banking giant estimates that SpaceX (NASDAQ: SPCX) stock is not only ‘cheap’ but is also getting ‘cheaper’.
Specifically, in an October 4 note, Morgan Stanley (NYSE: MS) analyst Adam Jonas described that, after adjusting for growth, SPCX shares represent one of the least expensive ways for investors to take part in the ‘Space and Intelligence Economy’.
Curiously, the Wall Street expert also advised urgency when he stated that traders still have time to take advantage of the opportunity before the Starship Flight 15 – expected later in October – despite saying SpaceX equity is ‘cheap and getting cheaper’.
Lastly, Jonas reiterated the SPCX stock ‘Overweight’ – ‘ Buy’ – rating and the bullish $300 price target: 75.35% above the latest close at $171.09.
Wall Street sets SPCX stock price target for 2027
Meanwhile, much of Wall Street shares Morgan Stanely’s optimism for Elon Musk’s newer public company. Indeed, SpaceX shares are, overall, considered a ‘Strong Buy’ by institutional analysts, per the data Finbold retrieved from TipRanks on October 6.
Additionally, the expectation is that SPCX stock will record a new all-time high (ATH) in the next 12 months, as the average price target stands at $235.10: 37.42% above the latest close and 4.19% higher than the previous $225.64 ATH.
SpaceX stock soars 15% in first five days of October
Elsewhere, along with forecasting strong future performance for SpaceX, Jonas’ note might have also contributed to the equity’s recent strength.
Indeed, after a strong rise in August, SPCX slowed down in September and gained just 6.07% within the month, but then suddenly shot up and soared 15.55% to $171.09 in the first five days of October.
Together with Elon Musk’s return to the Trump Administration, the decision to adopt the ‘super intelligence’ (SI) name change for the artificial intelligence (AI) technology, the milestone Starship launches, and talks with TSMC (NYSE: TSM) for collaboration on the Terafab plant, Morgan Stanley’s bullish stance is seen as a contributing catalyst.
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